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  1. I

    We will defy history if the bubble doesn't burst

    Your logic is correct, so is the logic about current scarcity of supply relative to growing demand, so is the logic about the long term decline in interest rates from the 1980's to now (with the short exception period in the early 1990's) supporting a sustainable borrowing amount. These are...
  2. I

    We will defy history if the bubble doesn't burst

    no argument from me there. The bulls could be right, but i always like a 'margin of safety' to act as insurance.
  3. I

    We will defy history if the bubble doesn't burst

    To be fair i think the RBA has to be careful in choosing its words so as not to rattle markets. What do you think would be the market reaction if the RBA came out with a statement 'yes i do believe we have a credit fuelled speculative boom' Until they know with unequivocal certainty, they...
  4. I

    We will defy history if the bubble doesn't burst

    i think this is the KEY DIFFERENCE,well put. We dont have unutilised supply (ie houses being left empty ready to flip) We dont have non-recourse loans. But keep an eye on increased supply because this will effect both the propensity to buy and rental support yields.
  5. I

    We will defy history if the bubble doesn't burst

    yes this is a VERY GOOD POINT. No point buying for yld if the yld is then cut in half:D
  6. I

    We will defy history if the bubble doesn't burst

    out of curiosity has anyone looked at this current period compared to post 1987. I see alot of similarities, the only structural difference is i dont think we will need to have the recession that we had to have. But the investment pyschology seems very similar. Just a thought, and...
  7. I

    We will defy history if the bubble doesn't burst

    Just out of curiosity, it appears from all the debates that: low inflation=low interest rates=property price appreciation. higher inflation= property price appreciation. so is it a case of property price appreciation for all seasons:confused:
  8. I

    We will defy history if the bubble doesn't burst

    Again its another interesting topic. Why are the posters from WA showing more 'caution' compared to other regions. Could it be due to near term asset price growth. Another interesting fact, track the number of posters from this whole forum to recent asset price growth. I think you will...
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